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Article 7

Thinking of Yourself as a Subscription Service

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11 August 2010 | Category: Uncategorized

One thing that has become more and more apparent to me recently is that the build and launch paradigm of web design is fundamentally broken. In today's world, where we're building much more than simple, static websites, it no longer makes sense to apply a set-and-forget mentality to the professional web services being provided.

Web designers today need to take a page out of the agile development handbook: starting small, building, building some more, and learning along the way.

So begins a cycle of launching, rinsing and repeating - letting you focus on how you can help your client achieve their long-term business goals rather than fulfilling their short-term desires and absorbing every bump you encounter along the way in the form of recurring revenue.

Let's take a look at how you can start thinking of yourself as a subscription service and ditch the "once-off" project mindset.

1: Start Small and Plan for Iterations

(Photo credit: DeaPeaJay)

Right from the very beginning of your relationship with the client, it’s crucial that you clearly set their expectations about the service you’ll be providing.

Many clients will come to you expecting the most feature-rich, elaborate website under the sun – and that’s when you have to step in and re-align their way of thinking. Limiting yourself to this “once-off” approach encourages design guesswork, usually pushing projects over time and over budget.

They need to understand and be comfortable with the idea of starting small, then building up the site over time. While at first this may seem counter-intuitive to them, you are the expert: it’s your job to convince them that aiming for the biggest and the best the first time round is unrealistic. Plan for future iterations, fine-tuning and growing their online presence on the back of reporting, analytics and customer feedback.

Having your client agree to this strategy not only builds trust, but also sows the seeds for a long-term relationship that will generate a nice stream of recurring revenue for you as their web designer.

2: Know what’s Next

(Photo credit: Gadl)

While having the client sign off on this approach initially is all well and good, you need to make sure that you’ve planned ahead and know what comes next.

What features or type of functionality will be added as the business grows? Will they want to start selling online? Will they need a blog, social media integration or a community forum? Many of the things the client initially sought in the first iteration of their site can be moved out to this second phase, and implemented once certain checkpoints have been met.

It’s up to you to apply your expertise when planning, and make sure you’ve always got a roadmap beyond where you are right now – having this roadmap is what sets you apart and positions you as the one who will implement it for them.

3: Monitor and Measure

The best way to structure your roadmap is around business milestones that the client will be sure to hit in the future. For instance, when their site reaches a certain number of sales inquiries per week via the contact form, it may be time to consider selling online or more actively engaging with customers through a live-chat service.

Knowing when you’ve hit these milestones comes down to continual monitoring of the online business’s performance. Today, web designers are blessed with an endless toolkit of reporting and analytics options, allowing you to back up your suggestions for improvement with concrete statistics.

Keep a watchful eye on key metrics such as unique visits, average page views per visit and customer conversion if applicable. A “conversion” needn’t always be an online purchase – it may involve signing up for a member’s only zone or subscribing to your client’s monthly newsletter (which you’ll be designing, of course!).

In addition to monitoring the business’s progress towards milestones, it’s also important that you watch out for any unexpected dips in the site’s performance. The beauty of web design as a subscription service is that if you’ve tried something out and it didn’t work, you can always tweak, measure and repeat – determining what works and what doesn’t over time while backing your decisions up with solid reporting data.

4: Follow up and Repeat

(Photo Credit: Tracy O)

As a web designer, you can’t be afraid to follow up with your client. The best web designer understands that sometimes they need to be a salesperson as well.

As you move through the process of building out the site, you need to be comfortable with measuring the results and determining whether checkpoints have been reached. Once they have been, it’s important that you contact the client and suggest that you now move into Phase 2.

If they’ve been successful thus far, chances are they’ll agree and you’ll be able to move forward as planned.

In three months time when the business is ready to move into Phase 3, you’ll have already built a trusting relationship: the client is given what they need online, while you gain a steady stream of recurring revenue.

Have you made the change to thinking of yourself as a subscription service, or do you find yourself stuck in the world of once-off client projects? Let us know about your experiences in the comments.

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Comments

  • http://www.velorastudios.com/_blog/Velora_Studios_Blog Catalina

    Do not ever stop doing the good job you did before you became succesful – that’s a good lesson to learn. I agree, whether you have to take baby steps to grow your network and truly connect with your fans/ clients or make giant leaps to the next level where you just take off and become popular – the key is to have a strategy and stick to it. This article is really insightful. Building your business, growing your brand is mostly about reputation, engagement and consistency.

  • http://item-9.com Jason Pelker

    I’ve been trying to move to this business model since March 2010, but I never put the term “subscription service” into play (I always referred to it as a retainer).

    I think a subscription is a great metaphor for this idea, though, and it would certainly help a lot of developers wrap their heads around the concept. In fact, I would love to see this whole idea expanded upon a bit more. There’s a lot to learn here.

  • http://www.ryanglover.net Ryan Glover

    This was a great article and something I’ve never considered before. This would definitely help the freelance crowd, especially in terms of work ‘droughts.’ Definitely something to think about and could prove useful to designers with a smaller clientele.

  • http://www.moogaloo.com Andy

    This is a brilliant article, with a lot of stuff to take on board.

    Personally however, I dislike the title. All too often we meet clients who feel trapped in by their webdesigners. They may like their site (but not always) but still feel unable to move on from it.
    To be fair, this is often down to their experience of their webdesigners not getting back to them or doing work on time, and if they felt they were getting a better service, they would feel less trapped, but to have a webdesigner on a subscription basis, to me at least, comes across quite badly, and even cheapens our products.

    When I think of subscription services, I think of Spotify, Free Agent, insurance, web hosting.
    These are all things you pay nothing for upfront, you use as much as you want depending on what level of service you want, and then drop if it no longer is working for you.

    I don’t think this model fits a website / online business.

    A website involves a lot of careful planning and a lot of upfront time, money and energy invested by both the client and the designers.

    Don’t get me wrong, I love what the meat of this article is saying, but I would prefer to view it as being more about a website always being an ongoing project, a living and growing entity, something that is always in a certain state of beta (without the web2.0 cliches!) and never “complete”.

    Having a client pay monthly subs for their website feels like bad business practice, and like I said at the beginning, something too many clients we meet experience as a negative tie-in, as it’s not the kind of thing you can just drop at a months notice if things go wrong and switch to a better service.
    If we’re doing a good job, there would be no need for a “ongoing monthly payment or service ends / website gets switched off” approach as the client would, as mentioned in the blog, see the benefit of it and happily keep coming back for the next stage.

  • Teddy D.

    I fully Agree with the term ”Subscription Service”

    Particularly in the sense that you must build trust on the part of your client (even if it means down-selling) their needs until a later time.

    In other words, if a prospective or current client feels like you do not care about their “wallet” then chances are they will use you only one or two times until they can find someone cheaper.

    Better to have a “bird in the hand” right now so that they will bring themselves and a couple other “birds from the bush” in the near future.

    I know this works because most of my business has been through referrals. Just last week I received six website referrals PLUS, returning business.

    Getting a “Big Fish” is good for one-timer business, but far better when you have a medium-sized cost that will bring recurring business.

    As a word of advice, you should only bill them for the work that you do for them as opposed to the “Monthly Maintenance” fee. I do not charge a “Monthly Maintenance” because it shows a lack of personal care and the client knows this. By charging them for work on an “as needed basis” they will trust you and your company, and in return will keep coming back.

    This article was right on spot! My business is living proof.

    If you take PERSONAL care of a client’s wallet (ie – show them that you have a conscience), they AND their friends will usually take care of you so that you will have a thriving ongoing business.

    I fully support this article and look for more like it to come into my email box.

  • Kevin

    As a user of web design and development services I find it very interesting seeing how developers are thinking and I find Vitamin a brilliant resource for this.

    Speaking from a client perspective I have been burned by a developer in the scenario described in Jackson’s article. Over a period of about 3-4 years we developed three separate sites based on the same custom built CMS. Over that period there were 2 full re-designs of the front end and many added features and tweaks to the back end. All three sites were in use with a customer base and producing revenue.

    Then the developer took a full time job, despite the fact that he had told me that he always intended to stay freelance. Getting things done for my sites then became difficult because it had to be fitted in around his full time job, and no doubt his other clients whom he also needed to support. Finally he dropped out of web development all together and became a photographer!

    I always feared that something would happen which would mean he was no longer available to me and for years I asked for a detailed description of how the CMS worked. In the end I got only about 3 pages, most of which I already knew, for which he charged me a substantial amount. When I gave this document to another developer the information proved to be totally inadequate and I have subsequently spent quite a lot of money just for another developer to work out how the CMS works.

    So while I still value a relationship with a good developer he or she must never be indispensable. Let’s face it, despite a developer’s best intentions many never really know what the future holds for their career, and as a client I could become a victim of their success. Then of course there’s fate!

    In the future all sites I have built for me will need to be developed with extensibility in mind and I am experienced enough as a client to specify as many ‘maybes’ as possible in terms of future functionality. Furthermore the code must be very well documented so that even I as a non coder can understand it. I also require detailed descriptions of the database structure and what functionality has been built into it (this is where we have come unstuck with my current sites). I know now that the way in which database designed is really important. Basically I want to be in a position whereby another developer can take over if need be.

    This doesn’t mean I don’t want an going relationship with a developer, but I cannot have my business be dependant on a single freelance developer.

    I am in favour of agile development, up to a point, but I believe that a site should be of a certain standard from initial launch, otherwise it is a waste of money marketing it. I am a great believer in putting your best foot forward, because it is harder to persuade someone to come and use your site again after they have already had a negative experience. So work needs to be done up front to make the UI design as clear and unambiguous as possible from the outset and all features that are visible must work properly. This also means knowing or at least understanding your target audience.

    I’m designing a site for older generations at present (50-80 year olds) so I built a forum initially (using vBulletin with some customisation) for a small sub-set of the target audience for the main site. It was very worth while. I learned how what I considered to be a very straight forward user instruction could be completely misconstrued by less computer literate users. I also learned how intolerant they can be! Then there are some features on the site that I considered important, but simply never ever get used.

    If the main site had been fully launched without knowing this it would have been a nightmare to support and would have definitely turned off some users.

    The challenge for me is to decide what the minimum feature set needs to be for the initial launch, and to make that decision I need the developer to tell me what time and cost is involved incorporating each feature or component of the site. What I don’t want is a developer trying to persuade me to hold off including features in the initial launch phase, just so they can string the job out. Most web based business sites continue to evolve.

    Andy said: “If we’re doing a good job, there would be no need for a “ongoing monthly payment or service ends / website gets switched off” approach “.

    This is spot on Andy – if a developer is doing a good job for me, adding value and at a fair price, I wouldn’t dream of looking to change developers – it’s hard enough to find the right person to begin with!

    As for “web site gets switched off” strategy, I would never use a developer who adopted this approach, nor would any other business operator who had any sense.

  • http://www.colonialfloorcare.com/ Marble Floor Cleaning

    Thanks for the post. This was a great article and something I’ve never considered before.

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